To compress WTV files to much smaller, the best method is to convert WTV to a format that is highly compressed.
I did a test by converting 144MB WTV files to AVI, WMV, MKV, H.264 MP4, QuickTime MOV and WebM using Bigasoft WTV Converter
. I'd vote H.264 MPEG-4 as the winner for the smallest output file size as well as the second best output image quality among the compared video formats.
To burn DVD or edit with Windows Movie Maker, you can compress WTV by converting WTV to AVI or MPEG.
Here is a guide to compress WTV to MP4, AVI, MKV, MPEG, DVD, etc:
How to Convert WTV to MP4,AVI,MKV,DVD,etc to reduce WTV file Size? - TechiSky